Compulsory automobile insurance began in Switzerland in 1904. 8 years later Norway adopted it, followed by Denmark in 1918. In this nation such insurance was initially talked about in Jersey that is new in 1916, and also by 1927 some type of mandatory car insurance was under consideration in the majority of the various other states.
In January, 1926, Connecticut put into operation a monetary responsibility act. The next season the “Stone Plan” went into effect in New Hampshire, while Massachusetts inaugurated the very first as well as, the only, to date, compulsory liability insurance law for automobile owners.
Maine, Rhode Island, Minnesota and Vermont have enacted legislation rather like the Connecticut program. These different ways of coping with car accidents and their accompanying issues is describe in detail at a later stage. Along with the 7 plans today in operation, a selection of alternate proposals are set forth.
The Massachusetts system of mandatory liability insurance has served as the proving ground for the experiment of compulsory car insurance. Surprisingly enough the adventure on the Bay State is employed to help the pro and con arguments.
Generally there is considerable quibbling regarding the initial reason for the law, some pointing to it as a failure claiming it hasn’t decreased the quantity of crashes, others maintaining that the law was never meant as a safety measure but just as a way of insuring monetary responsibility. It’s charged the administration of the action is now involved in politics.
The entire impact of the issues raised in the functioning on the Massachusetts law has become diverting attention, temporarily at least, from liability insurance to compensation insurance, in case the temper along with quantity of magazine articles and also newspaper comments might be considered as a criterion.
It’s not improbable that the struggle over necessary insurance might shift from the responsibility field to which of compensation, principally due to the precedent thought to be discovered in Alabama General Liability Insurance. Nevertheless, the strategy adopted in the future might not be solely either a liability or maybe a compensation measure. The Connecticut as well as New Hampshire plans, in addition to a selection of alternative proposals, present ideas for consideration.